Peter Ward, CEO of UK Warehousing Association (UKWA) has warned that warehouses in the UK are currently running at almost full capacity, with little prospect of more space becoming available in the short-term.

We need fully serviced and kitted operational facilities “While we welcome positive reports from the commercial property sector that speculative build is rising again, and vacancy rates have seen a modest increase of late, new logistics buildings will typically be taken up under long-term leases, whilst those looking for space to stockpile are seeking short-term capacity only, supported by a full suite of logistics services.

“What is needed right now is fit for purpose facilities complete with racking, forklifts, warehouse management technology – and, of course, people – all ready to go on a pay as you play basis. Such operational and fully kitted and serviced space is in desperately shortsupply.”

Before March 28th a survey of UKWA members revealed that 85% of respondents had received Brexit related enquiries – mostly for short term requirements, while 75% had filled incremental space, but were now ‘full’. UKWA plans a further survey over the coming weeks,but according to Peter Ward, it is unlikely any additional space will have become available –if anything, he expects the position to have worsened.

October is peak period for our industry – rush to stockpiling couldn’t come at a worse point “With the prospect of a “day one no deal” looming, the delayed date for withdrawal from the EU couldn’t have come at a worse time,” he explains. “Warehouses are already filling up forthe traditional peak period, ramping up for the Christmas season that now includes Black Friday and Cyber Monday. Without the impact of Brexit this period has always been challenging, not just in terms of available warehousing space, but also in the recruitment and retention of the additional labour required – a situation which has been exacerbated further by the so-called ‘Brexodus’ of Eastern Europeans from the sector post the vote.